4 new reasons for Apple shares to bounce

Apple Online Store“Steve Jobs couldn’t help himself, he just had to sit in on Apple’s (AAPL) first $20 billion quarterly conference call. His presence certainly added to the depth of insight coming from Apple management,” Jason Schwarz writes for Seeking Alpha.

“In fact, Jobs revealed four insider opinions on the future of tech that if true, will result in Apple stock continuing its run to overtake ExxonMobil(XOM_) as the world’s largest cap stock,” Schwarz writes. “As a rare jack-of-all-trades innovator, Apple is blazing a trail that no company has ever traversed.”

Consider the following four insights from inside the brain of Steve Jobs:
1. Touch Screen Software Is King
2. China Is the Prize of Prizes
3. iPad Enterprise Adoption Is Gaining Steam
4. Future Product Announcement

Full article here.

[Thanks to MacDailyNews Reader “iWill” for the heads up.]

58 Comments

  1. Cross-posting here from another thread:

    Interesting thing happened to AAPL during and after the conference call, as well as this morning. At the end of normal trading, it closed above $300. At some point in after-hour trading, the stock fell below $300 (by a penny or two). It continued to over around (and below) that number, but when it opened this morning, it was above $300, and it continued to recover some lost ground.

    It looks to me like some major players dumped a large share last night, in hopes of pushing it below $300, and they succeeded, barely. This morning, when it started creeping up, somebody decided to push it down again, so more shares were unloaded. You have to keep in mind, in after-hour trading, as well as in pre-hour morning trading, much lower volume is sufficient to make meaningful moves.

    The point is, hedge-fund cowboys out there were hoping to have AAPL open today below $300. That way, millions of small-time investors who had set their sell-order trigers at $300 last week would have found themselves with no AAPL shares this morning, and when a large volume of such triggers is tripped, sudden flooding of the market with sell orders pushes the price further down. The above-mentioned cowboys were likely hoping that the first wave of automated sell orders would push stock low enough to trigger the next wave (perhaps at $295), which would give THEM a lovely, cheap re-entry point at $295-6. More careless ones may have even shorted some AAPL at 8:30 this morning.

    Apparently, though, this didn’t happen. AAPL opened above $300 and kept going up. Those $300 (and $295) sell order triggers never tripped, and the stock is safely above the magical number.

  2. Cross-posting here from another thread:

    Interesting thing happened to AAPL during and after the conference call, as well as this morning. At the end of normal trading, it closed above $300. At some point in after-hour trading, the stock fell below $300 (by a penny or two). It continued to over around (and below) that number, but when it opened this morning, it was above $300, and it continued to recover some lost ground.

    It looks to me like some major players dumped a large share last night, in hopes of pushing it below $300, and they succeeded, barely. This morning, when it started creeping up, somebody decided to push it down again, so more shares were unloaded. You have to keep in mind, in after-hour trading, as well as in pre-hour morning trading, much lower volume is sufficient to make meaningful moves.

    The point is, hedge-fund cowboys out there were hoping to have AAPL open today below $300. That way, millions of small-time investors who had set their sell-order trigers at $300 last week would have found themselves with no AAPL shares this morning, and when a large volume of such triggers is tripped, sudden flooding of the market with sell orders pushes the price further down. The above-mentioned cowboys were likely hoping that the first wave of automated sell orders would push stock low enough to trigger the next wave (perhaps at $295), which would give THEM a lovely, cheap re-entry point at $295-6. More careless ones may have even shorted some AAPL at 8:30 this morning.

    Apparently, though, this didn’t happen. AAPL opened above $300 and kept going up. Those $300 (and $295) sell order triggers never tripped, and the stock is safely above the magical number.

  3. @Predrag,
    That’s a lot of theorizing to then admit it didn’t happen.
    Reality: investors made some faulty assumptions before the details came out; there was some selling and a reassessment; investors concluded that their guesses on iPad growth and margin weren’t such a problem, in light of the positive information that also came out; there was also some healthy profit-taking, which causes a meaningless blip downward. Now, Apple stock is poised for further growth.
    No big deal.

  4. @Predrag,
    That’s a lot of theorizing to then admit it didn’t happen.
    Reality: investors made some faulty assumptions before the details came out; there was some selling and a reassessment; investors concluded that their guesses on iPad growth and margin weren’t such a problem, in light of the positive information that also came out; there was also some healthy profit-taking, which causes a meaningless blip downward. Now, Apple stock is poised for further growth.
    No big deal.

  5. @Predrag, it’s an interesting theory, but I don’t think it likely. If the goal was to push out little traders by triggering stops at $300, I dont think so. The price had only gone above $310 on Friday. First, most investors don’t put a stop in, second, most investors aren’t that quick to adjust their stops, and third, given how volatile Apple can be, most Apple investors have learned not to put your stop too close to the current price for fear of exactly what you state happened.

  6. @Predrag, it’s an interesting theory, but I don’t think it likely. If the goal was to push out little traders by triggering stops at $300, I dont think so. The price had only gone above $310 on Friday. First, most investors don’t put a stop in, second, most investors aren’t that quick to adjust their stops, and third, given how volatile Apple can be, most Apple investors have learned not to put your stop too close to the current price for fear of exactly what you state happened.

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